Dell Technologies will sell its RSA security business to private equity firm Symphony Technology Group (STG) for $2.075 billion.
The companies announced the deal, which includes the purchase of RSA Archer, RSA NetWitness Platform, RSA SecurID, RSA Fraud and Risk Intelligence, and RSA Conference, a week before the annual mega-cybersecurity conference kicks off in San Francisco on Feb. 24.
Dell acquired the security software company when it bought EMC in 2016. Since then, however, it has beefed up its security products and services via its other brands including Secureworks and VMware, which acquired Carbon Black last year.
Selling RSA will allow Dell to “simplify our business and product portfolio,” wrote Jeff Clarke, chief operating officer and vice chairman of Dell Technologies in a blog post. “The strategies of RSA and Dell Technologies have evolved to address different business needs with different go-to-market models. The sale of RSA gives us greater flexibility to focus on integrated innovation across Dell Technologies, while allowing RSA to focus on its strategy of providing risk, security and fraud teams with the ability to holistically manage digital risk.”
Rumors started swirling about a potential RSA sale last fall and picked up steam last month when Dell hired Morgan Stanley to help with the sale.
Dell and STG expect the transaction to close in six to nine months. In addition to STG, Ontario Teachers’ Pension Plan Board and AlpInvest Partners are part of the investors group that will acquire RSA.
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